LISTED Cebu Landmasters, Inc. (CLI) is allocating roughly P15 billion for capital expenditures (capex) this 12 months because it seeks to expand its portfolio.
“Around P15 billion,” CLI Chief Operating Officer Jose Franco B. Soberano said during a media briefing in Makati City on Friday last week.
This 12 months’s capex is barely higher than the P14.5 billion allocated in 2024.
CLI Chief Financial Officer Beauregard Grant L. Cheng said the budget covers ongoing capex for existing projects.
“This includes all of the projects we’re build up, all of the projects we’ve launched within the recent past, potential land acquisitions, in addition to projects that we’re newly launching,” he said.
The VisMin real estate developer previously announced a P12-billion budget for 2 initial projects — a horizontal development and a condominium — as a part of its planned entry into the Luzon market.
“The P12 billion was our approximate capex spending for 2 projects we plan to do in Manila. But that’s over a four-year period of construction. Thus far, it’s still the identical amount,” Mr. Soberano said.
On Friday, CLI raised P5 billion from a sustainability-linked bond issuance to fund the development of 16,000 inexpensive housing units by March 2029, contributing to efforts to handle the housing backlog within the Visayas and Mindanao.
The issuance consisted of Series D bonds, totaling P2.86 billion, with an rate of interest of 6.6348%, and Series E bonds, price P2.14 billion, with an rate of interest of 6.9157%.
CLI’s issuance is the country’s second sustainability-linked bond, a financial instrument tied to environmental, social, and governance objectives. The corporate must construct 8,500 inexpensive housing units by February 2027 and a complete of 16,000 units by February 2029.
Failure to satisfy the goal will lead to a 7.5-basis-point increase in rates of interest.
“Without delay, we’ve a number of projects. We launched in General Santos. We’ve ongoing projects in Iloilo, Bacolod, Ormoc, and Cebu. As we finish all these projects, they’re going to count toward our compliance with these measures. They’re already in progress,” Mr. Cheng said.
The recent bond issuance is the second tranche of CLI’s P15-billion shelf-registered bond program, with the third tranche planned for the third or fourth quarter of this 12 months.
CLI shares were last traded on March 21 at P2.57 per share. — Revin Mikhael D. Ochave
